Tuesday, June 20, 2006

You meet the meanest people on a...

In reality, Honda faces many critical issues in India. And the biggest of them is its lack of presence across segments. According to SIAM, the compact segment (A2) registered a growth rate of 15%, the mid-size segment (A3) grew by 8.14%, the executive segment (A4) declined by a negative 9% and the premium segment (A5) grew by 7%. Honda is currently present only in the least growing segments (A3 & A5), and thus is losing out on volumes. Worse, Honda is now launching the Civic in the A4 segment, the only negative growing segment.